A budget deficit in the Town of Chester is now behind fledgling talks to sell or lease the Sugar Loaf Performing Arts Center.

The town bought the property on Creamery Pond Road for nearly $1.1 million in 2019.

Supervisor Brandon Holdridge says despite the facility being a great addition to the community, it’s losing money annually. It’s projected to lose roughly $180,000 this year.

Holdridge says the town is currently “exploring options” to alleviate the tax burden to residents – including the possibility of selling it to Orange County.

“We are interested in discussing it. It’s been in a deficit for years now,” says Holdridge. We are also considering leasing the building and other ways to increase revenue.

Orange County Executive Steve Neuhaus says the county has $250 million in surplus funds that the legislature could consider using to purchase the arts center.

“I just think it’s a great opportunity,” says Neuhaus. “We are looking at multiple uses for this. Your kids want to do graduations, do performing arts schools. Just let people utilize it.”

Holdridge says rising costs town-wide, coupled with losses from the arts center, and the creation of an ambulance district will likely increase property taxes for residents next year. He says ultimately, the future of the building will be up to voters through upcoming public hearings and a referendum.